For those who read our blog, ‘How Much Should You Charge For Your iPhone App?’ you understand why “free” is the best pricing option for apps. However, we understand why the notion of paying a development firm to develop an app being offered for free may still be troubling. In this blog we will explain how to monetize free apps so the money spent on iOS development can provide a substantial return on investment.
In offering a free app on the iOS platform there are a few money-making options to choose from. Below is a list of the four best monetization options:
- Subscription-supported app monetization.
- Ad-support app monetization.
- In-app purchases.
- Sponsorship.
You’ll notice that between the four options, two clear monetization strategies emerge. One strategy generates income from the app user (1 & 3) and the other generates revenue from advertisers (2 & 4).
Overall, research has shown that advertisers are more willing to pay iOS development firms than end users are willing to pay for iPhone apps. However, a two-pronged approach should be developed, whereby your company generates revenue from both advertisers and users. Many companies in Utah, and across the Unites States, have put this into practice and have witnessed a strong response. Providing free and paid versions of apps can satisfy all iPhone user types (those willing and unwilling to pay for apps), and cover the costs of development upfront by selling ad space or sponsorship/naming rights.
While it is no secret that free apps outpace paid apps in total number of downloads, users as well as advertisers need to be targeted. Ultimately, as long as the app is highly functional and intuitive, it should easily break through Apple’s App Store clutter making it suitable to both types of monetization strategies. It is important to remember the iPhone app market is forever growing and the best place to be is out in front.
For years, Mystic Media has continued to utilize the most effective marketing strategies and latest iOS software to help companies easily sell their services and products. Mystic’s expert app developers craft highly functional apps that are visually pleasing and intuitive to use. Based in Salt Lake City, Utah, Mystic Media is the best iOS app development company around. Call Mystic today, for a free consultation.